Vice Minister Park Yoon-gyu: "Side Effects After DanTongBeop Abolition? Resolve Using Current Law Provisions"

Broadcasting Commission May Suggest Guidelines
No Additional Conditions for 5G 28GHz 4th Carrier Auction
WRC 6G Candidate Bands Expected to Be Mentioned in Frequency Plan

Amid concerns about consumer discrimination following the abolition of the Mobile Communication Terminal Device Distribution Structure Improvement Act (hereinafter referred to as the Terminal Distribution Act), the government is considering ways to utilize provisions in the current law.

On the 24th, at the '2024 AI Everyday Life Continuous On-site Discussion' held at the Open Edge Technology headquarters in Gangnam-gu, Seoul, Park Yoon-kyu, the 2nd Vice Minister of the Ministry of Science and ICT, is attentively listening to the speaker's remarks. Photo by Hwang Seoyul chestnut@

At the '2024 AI Normalization Continuous On-site Meeting' held on the 24th at the Open Edge Technology headquarters in Gangnam-gu, Seoul, Park Yoon-kyu, the 2nd Vice Minister of the Ministry of Science and ICT, responded to a reporter's question asking, "Are there any measures being prepared to address side effects such as consumer discrimination arising from the abolition of the Terminal Distribution Act?" by saying, "It is highly likely that provisions in the current Telecommunications Business Act will be utilized."

According to the Telecommunications Business Act, if a business operator engages in acts that harm or may harm fair competition or the interests of users, they can be sanctioned by the Korea Communications Commission. The act of explaining or notifying users about important matters such as telecommunications service fees, contract terms, and discounts is also included in Article 50 (Prohibited Acts) of the law.

Vice Minister Park explained, "Currently, under the Telecommunications Business Act, prohibited acts include excessive discrimination among users, but it seems that the Korea Communications Commission will decide whether there will be guidelines on what constitutes 'excessive discrimination.'"

On the 22nd, the government announced the abolition of the Terminal Distribution Act, citing reduced competition among mobile carriers and decreased consumer welfare. However, the selective discount system will be transferred to the Telecommunications Business Act. Since the abolition of the Terminal Distribution Act requires discussions between the ruling and opposition parties, the timing of its enactment remains uncertain.

Furthermore, regarding the upcoming frequency auction for new operators in the 5G 28 GHz band scheduled for tomorrow (the 25th), it has been confirmed that no additional conditions will be imposed despite concerns about the 'financial capability' of the three candidate companies (Sejong Telecom, StageX, MyMobile). Vice Minister Park said, "There can be no changes to the rules related to the current auction," adding, "If a business operator is selected but cannot proceed due to financial capability issues, we will consider whether to review this condition during the screening stage."

He continued, "If the frequency auction payment is made and the minimum base station construction can be completed, that indicates financial capability; the rest falls under the business plan domain," and added, "It is difficult for the government to judge the standards of financial capability." He also noted, "Since this frequency allocation is more in the B2B area than B2C, I think financial capability will not have a significant impact."

The comprehensive frequency spectrum, expected to be announced as early as the end of this month, is also anticipated to mention the 6G candidate bands discussed at the recent World Radiocommunication Conference (WRC). Vice Minister Park stated, "There will likely be mentions related to the bands reviewed by the WRC," and added, "The shape will be finalized at the public hearing scheduled for around next week."

This content was produced with the assistance of AI translation services.